France’s Engie hopes to resume talks to buy Petrobras’ TAG: paper

French energy group Engie SA (ENGIE.PA) hopes to resume talks to buy a gas transportation subsidiary of Petroleo Brasileiro SA (PETR4.SA) this year, the chief executive of Engie’s Brazilian unit was quoted as saying on Wednesday.

TAG, as Petrobras’ gas transportation arm is known, operates about 4,500 kilometers (2,800 miles) of pipelines in the north and northeast of Brazil.

Engie submitted the highest bid for TAG, worth more than $7 billion, and was in exclusive contract talks with Petrobras when the Brazilian Supreme Court in July issued an injunction blocking asset sales by the Brazilian state-run oil company.

If all judicial hurdles are cleared, France’s Engie and contending bidders will have the opportunity to re-bid for TAG at a yet-to-be-defined time, Valor Econômico reported.